Delray Beach Seeks $1.9m Grant For Housing Help

April 22, 2009|JENIFFER SHAPIRO DelrayForum@tribune.com

Delray Beach recently applied for a $1.9 million state grant to help support the Neighborhood Stabilization Program.

If the city receives the money, it will be used toward purchasing bank-owned homes that went into foreclosure, and buying properties, rehabbing them and then selling them to eligible buyers, said Elizabeth Alpert, the city's neighborhood services administrator.

"We're waiting to hear back from the Department of Community Affairs to see if we're approved. I imagine it will be a pretty quick turnaround; I hope within the next 60 days," she said.

Eligible buyers include households at or below 20 percent of the median income, which would be "any low- to moderate-income person," Alpert said.

With the grant, the city will purchase at least eight homes for resale and at least three for rentals, Alpert said.

The city had two public meetings to discuss what the areas of greatest need were and what strategies would be a good fit with Delray Beach, she said.

Alpert said some options they looked at, such as demolitions, wouldn't be a good fit.

"When we looked at bank-owned property, most were in livable condition and we could rehab them and bring them up to code," she said.

Once the city gets the green light on the grant money, they'll advertise on their Web site how to apply and purchase a house, Alpert said.

Residents might also be eligible to get assistance with the down payment. Those who apply must be income eligible and mortgage ready in order to participate, she said.

"They need at least 50 percent of the sales price or more for the mortgage, depending on what they are qualified for, and it's based on need," Alpert said. "I think one of our greatest challenges right now is finding applicants that meet income criteria who are also mortgage ready, and that will naturally weed out people who aren't qualified."